Piper downgrades Nike on Adidas resurgence

Nike sneakers sit on display at a Foot Locker store inside the South Park Mall in Strongsville, Ohio, March 4, 2014.

Piper Jaffray lowered its rating for Nike shares to neutral from overweight, citing increased discounting and competitive pressure in Europe.

"While we believe in the brand long term, the resurgence of Adidas has taken a toll on Nike's growth rate in the [European] region," analyst Erinn Murphy wrote in a note to clients Thursday.

"We are also seeing other competition for the brand in Europe accelerate from the likes of Puma, New Balance and surprisingly Reebok (Classics). Unlike other brands, markdowns of Nike product were consistent across our wholesale checks."